How to Get the Best Foreign Exchange Rates In Nigeria When Travelling Overseas
The dwindling prices of oil amongst oil exporting countries have resulted in the price of foreign currencies, which conversion rates have hampered a lot of importations on the international market. In Nigeria, however, a lot of growth has been witnessed in the country’s foreign exchange market.
Though seemingly easy a task to handle, when looked from afar, obtaining the best foreign exchange rates for foreign currencies may not be as easy as it seems to the undiscerning. However, you need to be acquainted with the where and how to find the best foreign exchange rates.
It could take a lot of time, no doubt. But then, it’s easier if you transact with your bank or the closest local money exchanger in town.
The real question however is “how do you find the best foreign exchange rates” every time you wish to travel abroad to buy goods or services?
Remember, one-hundred-naira difference can make a big difference when you are considering making a large volume transaction overseas.
It can be painstaking to do a bit of work by asking around, surfing around or shopping around before you can land on the best available foreign exchange rate.
Do not also forget that you can always have to suspend terminate the transaction or travel when the current rates of exchange are comparatively extremely high. This therefore entails that the rates are higher than the price you first bough the currency with.
At such times, you may simply postpone the business trip or transaction till favorable times come in the exchange rates market.
At these times, your exchange rate calculator comes into full use, with which you can easily check and compare the exchange rates from time to time.
Tips On How To Get Hard Currency Transactions
Obtain the latest interbank rates from your bank branch or from the online bank.
use of an online exchange rate calculator to easily convert and compare exchange rates with what is obtainable with inter-bank rates. The difference between the two should not be much, but always choose the one with best foreign exchange rate in comparison to your reference rate.
Although train stations, Airports, and ferries offer convenience, theirs are of slightly higher foreign exchange rates. Alternatively, you can compare airport rates online prior to deciding whether to purchase the local currency at a comfortable rate or not, but bear in mind, that this is an airport, which although may be a bit pricey, offers lots of convenience.
Based on this, obtain quotations from various money changers. However, don’t expect the same exact exchange rates from money changers, knowing fully well that interbank rates as well as the black-market rates are for wholesale transactions, running into millions of Naira. The money changer rates, however, are retail transactions.
To provide the client with different quotations, money changers would normally scale-up their rate just above the normal to pay for their operating costs
Although the interbank rate may be used for reference, ensure the difference it has when combined with the money changer’s quotation fall between 5% – 10% only.
Safety and Precautionary Measures
It is not recommended that you transact hard currency online except it is through a bank. However, if you wish to carry out online transactions involving money changers, ensure that you the company you’re dealing with is reputable a one.
Always do some background checks or seek advice from friends, colleagues and others in this field, prior to buying foreign currencies. Ensure that the money transfer processes of are secure.
It is necessary that you are aware of the existing exchange rates in comparison to what it was in times past. Since currency exchange rates fluctuate rapidly, what could possibly be higher today might become lower after a few days. As such, unless you are in dire need of money, you might have to postpone the present transactions till a future date when the rates are convenient enough.